Exam 8: Strategy Formulation: Functional Strategy and Strategic Choice

Even the most attractive strategic alternative might not be selected if it is contrary to the needs and desires of important top managers.

Equity financing is preferred for unrelated diversification while debt financing is preferred for related diversification.

The key to outsourcing is to purchase from outside only those activities that are not key to the company's distinctive competencies.

The concept of ________ was taken one step further in JITII, in which vendor sales representatives usually have desks next to the purchasing company's factory floor, attend production status meetings, visit the R&D lab, and analyze the purchasing company's sales forecasts.

Three trends are evident in logistics: outsourcing, the use of the Internet, and

The pricing, selling, and distributing of a product is referred to as a(n)________ strategy.

The flow of products into and out of the manufacturing process is a factor when developing a(n)________ strategy.

If a company wishes to be a technological follower and also pursue a differentiation strategy, the appropriate R&D strategy would be to

If there is little fit between a strategic alternative under consideration and the corporate culture, which of the following is one of management's options to consider?

When there are highly automated assembly lines making one mass-produced product using little human labor, this setup is called

When a company exchanges 200 shares of stock worth $20 each for 100 shares worth $40 each, they are using

Church & Dwight uses the line extension strategy when they put the Arm & Hammer name on various new food products.

What is a functional strategy?

The automobile industry is currently experimenting with the strategy of mass customization in which pre-assembled sub-assemblies are delivered as they are needed to a company's assembly line workers.

A new approach to evaluating alternatives under conditions of high environmental uncertainty that proposes it pays to have a broad range of options open is the

The strategy that deals with product and process innovation and improvement is known as a(n)________ strategy.

Which type of pricing attempts to hasten market development and offers the pioneer the opportunity to utilize the experience curve to gain market share with a low price and dominate the industry?

What does a financial strategy examine?

Purchasing a product or service from an outside contractor that had been previously provided internally is called

According to the text, which one of the following is NOT one of the reasons why innovations seem to occur more often in small firms rather than in large, established corporations?